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Italy Economy Profile 2016

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Economy - overviewItaly has a diversified economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, highly subsidized, agricultural south, where unemployment is higher. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family-owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors.

Italy is the third-largest economy in the euro zone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, topping 135% of GDP in 2015, but investor concerns about Italy and the broader euro-zone crisis eased in 2013, bringing down Italy's borrowing costs on sovereign government debt from euro-era records. The government still faces pressure from investors and European partners to sustain its efforts to address Italy's longstanding structural impediments to growth, such as labor market inefficiencies and tax evasion. In 2014, economic growth and labor market conditions continued to deteriorate, with overall unemployment rising to 12.7% and youth unemployment around 40%, but Italy began to recover in 2015, with marginal growth and a slight reduction in unemployment.
GDP (purchasing power parity)$2.171 trillion (2015 est.)
$2.155 trillion (2014 est.)
$2.162 trillion (2013 est.)
note: data are in 2015 US dollars
GDP (official exchange rate)$1.816 trillion (2015 est.)
GDP - real growth rate0.8% (2015 est.)
-0.3% (2014 est.)
-1.7% (2013 est.)
GDP - per capita (PPP)$35,700 (2015 est.)
$35,400 (2014 est.)
$36,200 (2013 est.)
note: data are in 2015 US dollars
Gross national saving18.9% of GDP (2015 est.)
18.2% of GDP (2014 est.)
17.9% of GDP (2013 est.)
GDP - composition, by end usehousehold consumption: 60.7%
government consumption: 19.4%
investment in fixed capital: 16.7%
investment in inventories: -0.2%
exports of goods and services: 30.1%
imports of goods and services: -26.7% (2015 est.)
GDP - composition by sectoragriculture: 2.2%
industry: 23.6%
services: 74.2% (2015 est.)
Population below poverty line29.9% (2012 est.)
Labor force25.54 million (2015 est.)
Labor force - by occupationagriculture: 3.9%
industry: 28.3%
services: 67.8% (2011)
Unemployment rate12.2% (2015 est.)
12.7% (2014 est.)
Unemployment, youth ages 15-24total: 42.7%
male: 41.3%
female: 44.7% (2014 est.)
Household income or consumption by percentage sharelowest 10%: 2.3%
highest 10%: 26.8% (2000)
Distribution of family income - Gini index31.9 (2012 est.)
27.3 (1995)
Budgetrevenues: $876 billion
expenditures: $930.5 billion (2015 est.)
Taxes and other revenues48.2% of GDP (2015 est.)
Budget surplus (+) or deficit (-)-3% of GDP (2015 est.)
Public debt135.8% of GDP (2015 est.)
132% of GDP (2014 est.)
note: Italy reports its data on public debt according to guidelines set out in the Maastricht Treaty; general government gross debt is defined in the Maastricht Treaty as consolidated general government gross debt at nominal value, outstanding at the end of the year, in the following categories of government liabilities (as defined in ESA95): currency and deposits (AF.2), securities other than shares excluding financial derivatives (AF.3, excluding AF.34), and loans (AF.4); the general government sector comprises the central government, state government, local government and social security funds
Inflation rate (consumer prices)0.1% (2015 est.)
0.2% (2014 est.)
Central bank discount rate0.25% (31 December 2013)
0.75% (31 December 2012)
note: this is the European Central Bank's rate on the marginal lending facility, which offers overnight credit to banks in the euro area
Commercial bank prime lending rate4.3% (31 December 2015 est.)
4.87% (31 December 2014 est.)
Stock of narrow money$1.1 trillion (31 December 2015 est.)
$999 billion (31 December 2014 est.)
note: see entry for the European Union for money supply for the entire euro area; the European Central Bank (ECB) controls monetary policy for the 18 members of the Economic and Monetary Union (EMU); individual members of the EMU do not control the quantity of money circulating within their own borders
Stock of broad money$2.134 trillion (31 December 2014 est.)
$2.284 trillion (31 December 2013 est.)
Stock of domestic credit$3.096 trillion (31 December 2015 est.)
$3.39 trillion (31 December 2014 est.)
Market value of publicly traded shares$480.5 billion (31 December 2012 est.)
$431.5 billion (31 December 2011)
$318.1 billion (31 December 2010 est.)
Agriculture - productsfruits, vegetables, grapes, potatoes, sugar beets, soybeans, grain, olives; beef, dairy products; fish
Industriestourism, machinery, iron and steel, chemicals, food processing, textiles, motor vehicles, clothing, footwear, ceramics
Industrial production growth rate0.6% (2015 est.)
Current Account Balance$38.74 billion (2015 est.)
$40.9 billion (2014 est.)
Exports$454.6 billion (2015 est.)
$513.7 billion (2014 est.)
Exports - commoditiesengineering products, textiles and clothing, production machinery, motor vehicles, transport equipment, chemicals; foodstuffs, beverages, and tobacco; minerals, nonferrous metals
Exports - partnersGermany 12.3%, France 10.3%, US 8.7%, UK 5.4%, Spain 4.8%, Switzerland 4.7% (2015)
Imports$389.2 billion (2015 est.)
$448.4 billion (2014 est.)
Imports - commoditiesengineering products, chemicals, transport equipment, energy products, minerals and nonferrous metals, textiles and clothing; food, beverages, tobacco
Imports - partnersGermany 15.4%, France 8.7%, China 7.7%, Netherlands 5.6%, Spain 5%, Belgium 4.7% (2015)
Reserves of foreign exchange and gold$142.2 billion (31 December 2014 est.)
$145.5 billion (31 December 2013 est.)
Debt - external$2.459 trillion (31 December 2014 est.)
$2.635 trillion (31 December 2013 est.)
Stock of direct foreign investment - at home$505 billion (31 December 2015 est.)
$490.2 billion (31 December 2014 est.)
Stock of direct foreign investment - abroad$692.6 billion (31 December 2015 est.)
$664.9 billion (31 December 2014 est.)
Exchange rateseuros (EUR) per US dollar -
0.885 (2015 est.)
0.7525 (2014 est.)
0.7634 (2013 est.)
0.78 (2012 est.)
0.7185 (2011 est.)
Fiscal yearcalendar year

Source: CIA World Factbook
This page was last updated on October 8, 2016

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